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Market Intelligence
InsuranceFintechDataRisk

Connected Data & Usage-Based EV Insurance

How telematics and battery health data are rewriting actuarial tables.

February 21, 2025
4 Min Read
Verified Source

Claims Cost

+25%

Higher Repair Avg

Prem. Drop

-15%

With ADAS Usage

Data Pts

TB/Day

Vehicle Telematics

Executive Summary

EVs are computers on wheels. The real-time data they generate allows for hyper-personalized insurance premiums based on actual driving behavior and ADAS usage.

The Repair Cost Paradox

Currently, EVs are more expensive to insure due to high repair costs and lack of third-party parts. However, accident frequency is lower due to active safety systems. Insurers are pivoting to "Telematics 2.0," using direct API data from the vehicle to assess risk, bypassing traditional credit-score based models.

Battery Health & Residual Value

The biggest risk for insurers is the battery. If a pack is damaged in a minor collision, the car is often totaled. New diagnostic tools that verify battery integrity post-accident are crucial for lowering premiums. An authoritative "Blue Book" for battery health hosted on EV.NET would be an industry-standard resource.

Embedded Insurance

OEMs like Tesla and Rivian are launching their own insurance products, leveraging their data advantage. Legacy insurers need a neutral data aggregation platform to compete. EV.NET represents the perfect neutral ground for a global EV insurance marketplace.

Strategic Opportunity

Own the Digital Infrastructure

As the market for Insurance matures, authoritative digital real estate becomes scarce. EV.NET is the category-defining asset for this sector.

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